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Analyze the Effect of the Exchange Rate Stabilization Programs in Argentina.
This paper will probe at the trials and tribulations of the exchange stabilization program(s) in Argentina over the first half of the 1990s. This type of study could potentially draw on a number of important and directly related factors, and an even more impressive roster of indirect links. In the interests of brevity, only the most relevant factors will be drawn into the discussion. These include the nature of the stabilization programs in Argentina, the debt crisis of 1995, the debate between fixed and flexible exchange rates, the prediction of future exchange rates using spot values, and a brief mention on the other forces that are at work to undermine efforts to sustain economic stabilization in the developing economies. One of the important ones to mention is globalization, which is linked directly to factor allocation, linked interest rates, highly mobile capital, and the like. 14.5 pgs. 26 f/c. 10b.